The ARC of Butte County is a well-known community nonprofit organization, dedicated to helping individuals with developmental disabilities.  For 54 years the local chapter of ARC has helped area clients with disabilities live fulfilled lives, providing them with on-the-job opportunities, homemaking skills and support services.

Michael McGinnis, longtime Executive Director for the ARC of Butte County, is well aware of the challenges nonprofits have in raising and securing funding. So when it came time to look for financial backing to help ARC become more efficient in their operations, he looked at alternatives to regular financial institutions.  

Knowing that nonprofits have a different cash flow system than a traditional retail or manufacturing business’ and that most traditional banks utilize financial analysis models that make it difficult to underwrite loans for nonprofits, McGinnis approached 3CORE as a potential financing source. 

3CORE felt this partnership would have great potential for both associations, and that lending to the ARC would also be good for the community.

ARC qualified for not only one, but two loans through 3CORE. The first helped ARC replace a second deed of trust with a working capital loan that offered a significantly lower interest rate. This lower payment helps ARC keep their monthly operating expenses at a reasonable level.

A second loan from 3CORE was used to purchase a solar system, installed on their Park Tower Pavilion building, resulting in lower utility costs.  Both of these loans have allowed the ARC to realize their long run strategy of running more efficiently as a business.

Michael stated, “My favorite experience working with the 3CORE staff was the fact that they are professional and efficient. When they made commitments, they always met them, and their customer service was excellent.” 

While the ARC would still be operating today without the help of 3CORE’s loans, they would not be operating as efficiently.  The ability of 3CORE to realize the unique underwriting needs and the importance to the community of this nonprofit organization has provided substantial benefits to the ARC of Butte County.